Welcome to The Value of a TMS and Logistics Services for

Transcription

Welcome!
Welcome to The Value of a TMS and
Logistics Services for Effective Inbound
Freight Management Webinar
Presented By
READ MORE ABOUT FREIGHT BEST PRACTICES AT THE CERASIS BLOG AT
http://cerasis.com/blog
Introduction
Presenter: Adam
Robinson, Marketing
Manager
Adam Robinson oversees the creation
and execution of the marketing
strategy for Cerasis.
Company: Cerasis
Cerasis is a non-asset based third party
logistics service provider who specializes in
freight technology solutions and integrated
freight management services.
The Value of a TMS and Logistics Services for
Effective Inbound Freight Management Webinar
Webinar Agenda
This 45 to 60 minute webinar will cover the following material around inbound freight
management:
• An Introduction to the Landscape of How Big is the Problem of Inbound Freight
Management
• 3 Challenges Logistics Executives Face in Inbound Freight Shipping
• 8 Objectives to Consider and 4 Areas of Focus for Confident Inbound Freight
Management
• How TMS Automation Aids in Inbound Freight Management and What To Require in
a TMS
• The Advantage of Combining both expert service and technology for Inbound Freight
Management
• Conclusion and wrap up
• Q&A Session
State of Inbound
Freight
How big is the problem of inbound freight management?
Shippers report
inbound freight
management is
a key focus
point.
More than 40%
spent on inbound
shipping.
40%
75%
State of Inbound
Freight
How big is the problem of inbound freight management?
One Company Example Showing the
Sheer Volume:
• $18 Million in Inbound Freight
• Over 100 Carriers, despite
negotiations to have only 5 preferred
90%
90% of Shippers
surveyed in Aberdeen
say they are not
prepared to manage
inbound freight!
3 Inbound Shipping
Challenges
Lack of Visibility
• Where is the freight? • When will it arrive?
• How much will it cost?
The Manual Process of Inbound Freight Management
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“It gets there
when it gets
there.”
Piecing together information from internal paperwork to get
info such as tracking, Bill of lading, etc.
Going to multiple Carrier Websites to make phone calls
Putting together comprehensive reports
=
3 Inbound Shipping
Challenges
Lack of Control
• Companies develop routing guides and
plans for suppliers but have little control if
they are followed and no way to enforce
efficiently
• Most POs are “Ex Works” (EXW) & buyer
pays inbound freight costs & takes on risk
of delivery
• Focus is on Outbound for customer
service, meaning resources for inbound
are limited.
3 Inbound Shipping
Challenges
Rising Freight Costs
Aberdeen Research Group
Rates Survey Last 2 Years
• Increase of 14.5% in truckload rates
• 11.5% increase in LTL and ship rates
• 15.1 % increase in international air rates
Other areas of Cost Savings Logistics Managers Must Consider:
• Reductions in staff size
• Smaller IT services budget
• Increase centralization of shipping
8 Objectives for Inbound
Freight Programs
Inbound Freight Management is An Area Each Shipper
Can Improve
Savings in inbound
freight go directly to
the bottom line!
Management of
inventory is
critical to
business
success
Inbound freight involves the
management and control of
freight from:
•Domestic and offshore vendors,
•Consolidation of vendor shipments,
•Direct shipments to Retail sites and customers
at home, multiple shipping points, and
•Warehouse cross dock opportunities for Retail
replenishment and backorder processing.
Freight Programs
Effective Inbound Freight Management
Increased customer demand requires better
inbound flow of product for improved
customer service!
Management of Inbound Freight
affects:
• Inventory Control
• Overall Warehouse Productivity
• Customer Service Levels
Factors Increasing Difficulty of
Managing Inbound Freight:
• Rising Fuel Charges
• Increase in offshore product
sourcing
• Carrier changes & rate increases
• Multi-Channel
Freight Programs
8 Inbound Freight Objectives
1.Reduced freight costs and improved
“bottom line”
2.Improvement in on-time deliveries
3.Reduction in purchasing lead times
4.Less handlings and damage
5.Lower inventory levels and reduced
carrying costs
6.Providing maximum visibility into the
process
7.Improvement in warehouse productivity
8.Increased customer service
4 Areas of Focus to Meet
Inbound Freight Goals
4 Key Issues or Areas that Warrant Attention In
Inbound Freight Management
•Vendor Compliance
•Freight Paid vs. Freight Collect
•Visibility and System Control
•Vendor Relationships
1. Vendor Compliance
A Vendor Compliance
Program (VCP) should:
1. Define vendor
expectations
2. Measure and report
on performance
against expectations
3. Insure consistency and
reliability in inbound
freight
management
Key Performance
Indicators in a VCP:
• On-time delivery
• Meet damage and
accuracy demands
• Providing proper
paperwork
MISSION
CRITICAL:
PROVIDE &
CONTROL THE
ROUTING GUIDE
2. Freight Paid vs. Freight Collect
Converting from
prepaid freight to
freight collect
increases:
• Cost Reductions
• Overall Control
Shippers have
realized the words
“Free Freight”
Raises a RED FLAG!
3. Visibility and System Control
Visibility allows for:
• Control of inventory
movements
• Visibility into Freight
data
• But…….
…There must be an
information system to
manage the complex
processes, such as a
Transportation
Management
System or TMS
4. Vendor Relationships
Trust allows for
collaboration and
transparent
communication,
giving you the
keys to success.
Benefits of trusted
relationships:
• Reduced inventory
& safety stock
• Improved
warehouse
operating costs
• Enhanced customer
service
TMS for Inbound Freight
Automation
Transportation Management System
Make sure your TMS that is:
• Carrier neutral
• Encompasses the entire
shipping ecosystem
• Has a Web-services architecture
• Is permission based
• Has a powerful, flexible rules engine
Automation
5 Must Have Automation Features in a TMS
Automation
1. Real Time Freight Rates:
No more theoretical savings, but hard ROI
based on live, vendor neutral access to realtime market rates
Automation
2. Organizational Control
Gain Control Using a TMS
that:
• Has a rules engine, based
on optimized plans and
routing guides
• Is flexible to accommodate
custom business rules
• Allows for user control
• Usability matches logistics
expertise
Automation
3. Visibility and Data Analysis Reporting
For true shipment-level visibility and
reporting, a TMS must have:
• Carrier neutral, mode-agnostic data
repository.
• Up to date trends and patterns
• Forecast supply and demand of
carriers to make real-time decisions
based on actual data rather than
guesswork.
Automation
4. Speed and Scalable
A TMS Should Support:
• Rapid Growth
• Ease of use with little training
• Practical & delivers results
immediately
• Work as effectively at 2 inbound
shipments per day or 100
• Provides long term sustainable ROI
Automation
5. Dedicated Technology and
Up to Date Web Standards
A Cost Effective TMS Must:
• Be based on open standards & SOA
architecture to allow for integration
• Allow for rapid deployment (typically
web-based/cloud)
• Dedicated technology team who
develops freight technology.
Technology + Expert
Logistics = Success!
Effective Inbound Logistics is Truly a
Combination of Technology and Expert Service
TMS solutions allow
• All in the inbound freight ecosystem to be
managed.
• Control Costs
• Gain visibility
• Increasing control over such decisions as
carrier choice, routing, and price
• Ensure compliance by suppliers and
employees to the routing guide
Technology + Expert
Inbound Logistics &
Integrated Freight Managed Services
Integrated Freight Management Services
alongside a TMS:
• Address the problem of supplier compliance
• Integration of players into the new program
ecosystem guided by expert logisticians
• Allows for carrier relations management and
upkeep in the TMS
• Easy exchange of information about each
shipment for better freight accounting, claims,
and risk compliance
Technology + Expert
Best Practices To Expect for Inbound Logistics
from a Freight Management Services Provider
In order to effectively manage all aspects of inbound logistics, a managed service must be able
to:
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•
•
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Provide the ability to track and trace shipments for multiple customer roles
Process shipment for all modes of transport
Demonstrate logistics expertise in carrier relationships
Manage shipment scheduling, processing and execution
Manage contract negotiation and renewals
Monitor and enforce business rules
Seek dynamic, vendor-neutral freight bidding for transportation,
as needed
Provide comprehensive real-time reporting
Understand and manage reverse logistics
Provide full freight claims management
Provide freight accounting services
Cerasis: Your Inbound Freight
Management Partner
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Who is Cerasis?
Founded in 1997
Third Party Logistics Provider Specializing in Freight Management
State-of-the-Art Cloud Based TMS and Mobile TMS Application (Android, Apple)
Comprehensive Freight Management Services Including, but not limited to:
• Analysis and Audit of Existing Shipping Practices and Carrier Rates
• Carrier Rate/Rules Negotiations and Bidding Services
• Contract Management
• Inbound Routing and Compliance Program
• Volume/Spot Quotes, Truckload Routing (dedicated lanes & brokering)
• Invoice Auditing and Consolidated Weekly Billing
• Claims Processing and Maintenance
• Shipper Compliance Auditing
• Solutions Custom Tailored to Meet Your Needs
Management Partner
Modes Supported
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LTL North America
FTL
Intermodal
Specialized Dedicated Transportation
Services
FedEx Small Package
Management Partner
Cerasis Inbound Freight Solutions
 Your team needs more time to focus on core competencies.
Solution: Cerasis can give your team back valuable time by handling some of the time consuming
duties associated with freight operations including routing inbound shipments , scheduling pickups,
shopping for volume/spot quotes, re-routing shipments in transit, auditing invoices, resolving
invoice discrepancies, and processing claims.
 Suppliers don’t always comply with our routing guide.
Solution: Cerasis Freight Desk will route your inbound shipments ensuring they are routed
to your specifications at the best possible rates. There may be situations in which you would prefer
to route inbound shipments yourself and with our system, you have that option.
 Need ability to monitor compliance for all shipping locations.
Solution: Our least cost compliance feature requires shippers to input a reason when they do
not ship via the least cost carrier. Our Least Cost Compliance Report sorts non-compliant
shipments by reason and displays lost savings data.
Management Partner
Inbound Freight Solutions (Cont.)
 Need for standardization of procedures.
Solution: Cerasis will partner with you to implement a process designed to get all of your locations on
the same page; following the same procedures.
 Need more visibility and control over all shipping operations for all locations.
Solution: Cerasis TMS with organization views.
 No easy way to determine impact of freight costs on customer profitability.
Solution: Freight expenses can be sorted by customer and exported into Excel for analysis.
 Auditing freight bills and researching variances is a drain on resources.
Solution: Cerasis will audit your freight bills using a three step validation process that
enables us to resolve carrier errors before you are billed and obtain supporting
documentation for invoices that have been correctly adjusted. You will receive a pre/post audited
weekly consolidated invoice from Cerasis.
Management Partner
Inbound Freight Solutions (Cont.)
 Accounting has to spend time allocating freight costs to G/L accounts.
Solution: G/L codes will be loaded into system and assigned to shipments at time of processing.
These codes will follow the shipment all the way through invoicing and reports can be sorted by
these codes and exported into Excel for further analysis.
 Shipment handling expenses not being recouped.
Solution: Cerasis incentive feature allows you to add a handling charge to the freight cost
that remains transparent to your customer.
 Buyers need a quick way to estimate freight charges for raw materials and supplies purchases and sales staff
needs a quick way to estimate freight charges for customer bids.
Solution: Quick quote feature in Cerasis TMS.
 Customers have to contact sales or shipping staff for delivery updates, tracking info, and POD’s.
Solution: Customers will receive automatic shipment notification emails with tracking links.
Management Partner
Cerasis TMS = The Cerasis Rater
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True lane based rating engine.
Shipments rated and presented on screen in least cost order with carrier transit and limit of liability
information.
Shipment control panel to expedite shipment processing and auto-schedule pickups.
Guaranteed shipment costs allow you to bill product and freight costs simultaneously without waiting for
the freight bill!
Quick quote feature for sales and purchasing personnel.
Complete visibility of all shipment activity.
Inbound receiving report to assist with planning and scheduling.
Powerful tools and reports to help you manage trends and ensure compliance.
Organization views to facilitate management of all shipping locations.
Online invoice center provides electronic invoice access, adjustment requests, and payment options
enabling you to go “paperless”.
Customer satisfaction tools including automatic email shipment notifications with tracking links.
Management Partner
Cerasis Process Approach
 Customize a solution designed to meet your specific transportation needs
 Execute a partnership agreement
 Negotiate rates with carriers on your behalf
 Conduct a commodity review
 Collaborate with your management team to implement our custom solution
 Follow up to ensure your staff is fully trained and compliant
 Provide you with outstanding service and support on an ongoing basis
 Conduct quarterly account review meetings
Management Partner
Cerasis Team
An Exceptional Group of Experienced Freight
Professionals Striving to Exceed your Expectations
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Dedicated Customer Service Representative
Freight Desk
Claims Specialist
Carrier Relations Group
Implementation Team
Management Partner
Cerasis Technology
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In-House IT Department
Integration
XML Web Services
Custom Reports
Conclusion
Conclusion of Effective Inbound Logistics
Management
Technology + Services =
•
•
•
•
•
Improved Visibility
Controlling Processes
Better Cost Management
Impact Bottom Line
Improve Operations
THANK YOU!
http://cerasis.com
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Welcome to The Value of a TMS and Logistics Services for

Transcription

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